Bonds or notes backed by loan paper or accounts receivable originated by banks,...
A public or private security issued to finance a portfolio of receivables (usually consumer loans), independent of the financial status of the originator or issuer. Credit enhancement is provided to protect investors from defaults and to raise the inherent credit quality of the asset pool usually to triple-A.
A debt security collateralized by assets. Created from the securitization of any loans other than mortgage loans. (Securitized mortgage loans are called mortgage backed securities or collateralized mortgage obligations.) Typically, asset backed securities area created from consumer installment or credit card loans. Securitized commercial (non-consumer) obligations are typically called collateralized debt obligations or CDOs. CDOs are sometimes defined to be a subset of ABSs. ABSs may be structured in a variety of ways including simple "pass through" structures and complex, "multi-tranche" structures. The value that ABSs provide to investors is comprised of the cash flows due to the ABS holders from the underlying loans. ABS issues are typically structured so that the bankruptcy or insolvency of an underlying borrower does not impact the cash flow received by the security owner. See "special purpose vehicle", and "waterfall".
A debt instrument collateralized by credit card receivables, auto loans, or other assets and securitized by a bank or other financial institution.
A security which has principal and interest payments supported by assets owned by the issuer and usually placed with a trustee, e.g. mortgage backed bonds, credit card receivable bonds
A security backed by notes or receivables against assets other than real estate.
A security comprised of bundled pools of assets that are sold as units and are backed by an asset. Examples include mortgage pools, bundled credit card receivables and car loans. The general theory is bundled assets provide a steady flow of income, usually interest income, while losses from defaults are spread across the pool.
A security such as bonds or notes that are backed by loans, leases, accounts receivables, or installment contracts on personal property.
A security backed by a pool of consumer or commercial receivables. Term not usually used to refer to standard MBS, even though MBS are technically asset-backed securities. Auto loans and credit-card receivables are the most common form of collateral for asset-backed securities.
A securitized interest in non-mortgage assets.
A securitized interest in a pool of assets.
A security collateralized by loans, leases, unsecured receivables, or installment loans on personal property such as computers, automobiles or credit cards.
A security that is collateralized by loans, leases, receivables, or installment contracts on personal property, not real estate.
A security containing an undivided fractional interest in pools of consumer loans, such as credit card debt or car loans, or receivables held in trust.
A security issued by a financial institution and backed by an asset (e.g. a commodity). Français: Titre garanti par des actifs Español: Título con activos en garantía
An asset-backed security is a bond or note that is collateralized by loans, leases or receivables.
Asset-backed securities are a type of bond or Note that is based on pools of assets, or collateralized by the cash flows from a specified pool of underlying assets. Assets are pooled to make otherwise minor and uneconomical investments worthwhile, while also reducing risk by diversifying the underlying assets. The securitisation makes these assets available for investment to a broader set of investors.